Australia Stocks: BHP, Herald, Rio, Seven, Woodside, Woolworths

By Shani Raja

July 16 (Bloomberg) -- The S&P/ASX 200 Index rose 13 points, or 0.3 percent, to 4,828.70 at 10:25 a.m. in Sydney. The broader All Ordinaries Index advanced 6 points, or 0.1 percent, to 4,916.10.

Mining shares: BHP Billiton Ltd. (BHP AU), the world's largest mining company, declined 67 cents, or 1.7 percent to A$38.69, the lowest since April 4. Rio Tinto Group (RIO AU), the world's third-largest mining company, slipped A$2.55, or 2.1 percent, to A$119.45, the lowest since March 26.

A measure of six metals traded on the London Metal Exchange fell 2 percent. Zinc declined 8.2 percent and copper 1.6 percent. Separately, strategists at Merrill Lynch & Co. and Morgan Stanley said investors should sell commodities stocks because a slowing global economy will cut demand for raw materials such as copper, nickel and corn.

Gold producers: Newcrest Mining Ltd. (NCM AU) rose 56 cents, or 1.7 percent, to A$33.39. Gold rose, extending a rally to the highest price since March, as slumping equities and the sliding dollar sparked demand for the precious metal as an alternative investment. St. Barbara Ltd. (SBM AU) rose 2 cents, or 5 percent, to 32 cents, the index's fourth-biggest gainer.

Oil companies: Woodside Petroleum Ltd. (WPL AU), Australia's second-largest oil and gas producer, lost A$1.37, or 2.2 percent, to A$60.06, the most since July 8. Santos Ltd. (STO AU) dropped 42 cents, or 2.2 percent, to A$18.50.

Crude tumbled more than $6 a barrel in New York amid concern a slower U.S. economy will curtail demand.

Herald Resources Ltd. (HER AU) fell 8 cents, or 2.8 percent, to A$2.83, the most since May 27. Shenzhen Zhongjin Lingnan Nonfemet Co. and PT Aneka Tambang abandoned their A$553 million ($541 million) bid for Herald, allowing PT Bumi Resources, Indonesia's biggest coal producer, to take control of the mineral explorer.

Seven Network Ltd. (SEV AU) rose 22 cents, or 2.7 percent, to A$7.74, the most since July 9. Seven will make more than A$20 million from its television coverage of the Beijing Olympic Games, the Australian Financial Review said, citing industry sources it didn't name.

Virgin Blue Holdings Ltd. (VBA AU), Australia's second- biggest airline, rose for a third day, soaring 8 cents, or 13 percent, to 66 cents, the most in more than three years. Toll Holdings Ltd. said July 14 it plans to spin off its stake in Virgin Blue, exiting a business inherited in its 2006 acquisition of Patrick Corp. Richard Branson's Virgin Group Ltd., which started the carrier, will keep its 25.5 percent stake, making it the airline's biggest holder.

Woolworths Ltd. (WOW AU), Australia's biggest retailer, gained 93 cents, or 4 percent, to A$24.39, the most since March 25. The company said sales rose to A$11.4 billion in the three months ended June 29, from A$9.8 billion a year earlier.

To contact the reporter on this story: Shani Raja in Sydney at sraja4@bloomberg.net.